Wall Street Zen Downgrades Amdocs (NASDAQ:DOX) to Hold

Key Points

• Analysts at Wall Street Zen have downgraded Amdocs (NASDAQ:DOX) from a "buy" to a "hold" rating, reflecting changing sentiment among equity research analysts.
• Amdocs reported earnings of $1.72 per share for the last quarter, slightly exceeding expectations, though its revenue was down 8.4% compared to the same period last year.
• The company's stock has a current market cap of $9.29 billion and is being closely monitored by institutional investors, who own 92.02% of the company's shares.

Amdocs (NASDAQ:DOX - Get Free Report) was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued to clients and investors on Friday.

A number of other equities research analysts have also issued reports on the company. Weiss Ratings reiterated a "hold (c+)" rating on shares of Amdocs in a research note on Saturday, September 27th. Wolfe Research initiated coverage on Amdocs in a research note on Tuesday, July 8th. They issued an "outperform" rating for the company. Three analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, Amdocs presently has an average rating of "Moderate Buy" and a consensus target price of $108.00.

Amdocs Stock Performance

Shares of NASDAQ:DOX traded up $0.21 during midday trading on Friday, hitting $82.32. The company had a trading volume of 866,082 shares, compared to its average volume of 815,769. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.22 and a quick ratio of 1.22. The company has a market cap of $9.29 billion, a price-to-earnings ratio of 16.70, a PEG ratio of 1.37 and a beta of 0.51. Amdocs has a 12-month low of $78.61 and a 12-month high of $95.41. The company has a fifty day moving average of $85.21 and a two-hundred day moving average of $87.99.

Amdocs (NASDAQ:DOX - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The technology company reported $1.72 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.71 by $0.01. Amdocs had a return on equity of 19.66% and a net margin of 11.94%.The business had revenue of $1.14 billion during the quarter, compared to analyst estimates of $1.13 billion. During the same quarter in the prior year, the business posted $1.62 EPS. Amdocs's revenue for the quarter was down 8.4% compared to the same quarter last year. On average, equities research analysts expect that Amdocs will post 6.21 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Osaic Holdings Inc. boosted its holdings in shares of Amdocs by 78.7% during the 2nd quarter. Osaic Holdings Inc. now owns 25,078 shares of the technology company's stock valued at $2,293,000 after purchasing an additional 11,041 shares during the last quarter. Orion Porfolio Solutions LLC lifted its holdings in shares of Amdocs by 14.0% in the 2nd quarter. Orion Porfolio Solutions LLC now owns 54,204 shares of the technology company's stock valued at $4,946,000 after acquiring an additional 6,677 shares during the last quarter. State of Wyoming bought a new position in shares of Amdocs in the 2nd quarter valued at about $499,000. Evergreen Capital Management LLC bought a new position in shares of Amdocs in the 2nd quarter valued at about $473,000. Finally, CANADA LIFE ASSURANCE Co lifted its holdings in shares of Amdocs by 7.7% in the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 46,299 shares of the technology company's stock valued at $4,233,000 after acquiring an additional 3,305 shares during the last quarter. Institutional investors own 92.02% of the company's stock.

Amdocs Company Profile

Amdocs Limited, through its subsidiaries, provides software and services worldwide. It designs, develops, operates, implements, supports, and markets open and modular cloud portfolio. The company provides CES23, a 5G and cloud-native microservices-based market-leading customer experience suite, that enables service providers to build, deliver, and monetize advanced services; Amdocs Subscription Marketplace, a software-as-a-service-based platform that includes an expansive network of pre-integrated digital services, such as media, gaming, eLearning, sports, and retail to security and business services; the monetization suite for charging, billing, policy, and revenue management; Intelligent networking suite with a set of modular, flexible, and open service lifecycle management capabilities for network automation journeys; amAIz, a telco GenAI framework; Amdocs Digital Brands Suite, a pre-integrated digital business suite; and Amdocs eSIM Cloud for service providers.

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